OFFICE OF PERSONNEL REPORT - - WEEK ENDING 14 JANUARY 1977

• Document Type: CREST
• Collection: General CIA Records
• Document Number (FOIA) /ESDN (CREST): CIA-RDP80-00773A000100030069-4
• Release Decision: RIPPUB
• Original Classification: C
• Document Page Count: 7
• Document Creation Date: November 17, 2016
• Document Release Date: July 28, 2000
• Sequence Number: 69
• Publication Date: January 14, 1977
• Content Type: MF

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14 January 1977
MEMORANDUM FOR: Deputy Director for Administration
FROM F. W. M. Janney
Director of Personnel
SUBJECT Office of Personnel Report --
Week Ending 14 January 1977
1. Summer Intern Program: The deadline for receipt
of Summer Intern applications was 1 January, and the Program
Coordinator reports that 700 files have been received to
date. They will now be processed and evaluated by the
various components against some 50 summer openings. Input
has been especially heavy in political science, international
relations and languages. It was predictably lower in
economics, the sciences and engineering. The quality of
applicants appears to be exceptionally high, and all sections
of the country are well represented.
2. Briefing -- Clerical Selection: The Deputy Director
of Personnel for Recruitment and Placement, 25X1A
and members of his staff met with Personnel Officers of the
FBI on Tuesday, 4 January, to continue discussions on the
testing of clerical applicants. of 25X1A
OMS/PSS briefed them on the validation of the Short Employment
Test (SET) which has been in use by this Agency since the
early 1950's and has served us well.
3. No Tax Seminar: An Employee Bulletin has been
prepared announcing that there will be no tax seminar this
year. (IRS conducts seminars only for the Armed Forces.)
Federal and state tax forms will be obtained and stockpiled
in the supply room on or about 1 February 1977.
4. Clerical Applicants: New clerical applicants
placed in process during December 1976 numbered 100. This
compares with 95 during December 1975. The highest number
placed in process during FY 1976 was 204 during September.
E 2 IMPDET
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5. Retirement Activity- The following figures show
the extent to wllc employees are, as of this date, availing
themselves of the options of discontinued service and
involuntary retirement:
CSC
CIARDS
Total
Signed Up to Co
12
7
19
Definite, but Not Signed
0
10
10
12
17
29
In addition to these firm commitments, we have over 100
requests for annuity estimates -- but this should not be
taken as an indication of eventual large-scale commitments.
The availability of these two retirement options always
results in many requests for annuity estimates,
6. Issuances- This week we sent the following issuances
to Regulations Control Branch for publication:
a. Headquarters Notice -- "Supervision and
Evaluation of New Employees;"
b. Employee Bulletin -- "CIA Retirement and
Disability System;" and
25X1A
c. Employee Bulletin --- "Housing for
Cooperative Education Students."
7. Personnel Officers' Meeting: The monthly Personnel
Officers ? Meeting wa.s 1Td on ednesday, 12 Januar in the
headquarters auditorium:. Our guest speaker, 25X1A
gave a very interesting talk on his experiences concerning
:COI and Privacy Act requests.
8. Rehired Annuitant: The following rehired annuitant
case was terminated o The Directorate of Administration:
Independent Contractor,
Ofice of F ance, terminated 31 December 1976.
9. Retirement Medallions- Effective immediately, we will
cease preparing i-n v dual letters for transmitting Retirement
Medallions to recipients. We will now enclose, in the box
containing the Medallion, one of the Medallion Cards approved
in lieu of the letter, Sample of the card is attached at
Tab A.
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10. CIARDS Annuitant I.D. Cards: The new plastic
CIARDS annul nt. I.D. card has been produced and will be
ready for distribution as soon as we receive the machine
for stamping names on the card (Tab B).
11. Information on Tax Reform Act: We have received
a great number of questions from CARDS disability annuitants
about the effect of the Tax Reform Act of 1976. In order to
provide what information we can to such interested parties,
Retirement Affairs Division has prepared an information sheet
and has proposed that the Office of Finance send it as a
"flyer" with the W-2's to be sent to disability retirees.
The flyer was coordinated with and cleared by OGC and Chief,
Compensation and Tax Division/OF. The portion. commenting on
the Agency's medical staff was cleared by telephone with
the Director of Medical Services. A copy of the flyer is
attached at Tab C.
Coming Events:
1. The Annual Meeting of the Government Employees
Health Association (GEHA) will be held at 2 p.m. on
24 January in the Headquarters auditorium. All GEHA members
are urged to attend.
2. We will continue to review and revise Agency
regulations -- primarily in the 20 Series.
3. Work will continue on developing position standards
on the mail and file, nurse, reports officer, intelligence
production, accounting technician, secretary, clerk-typist
and clerk-stenographer series.
4. CEMLOC: The CEMLOC Control Monitor has sent out
invitations to 50 supervisors to attend a one and one-half
hour CEMLOC briefing on 19 January. This briefing will be
followed by a three and one-half hour workshop on 27 January
for the nearly 80 CEMLOC Control Officers.
5. We will. continue our collation of APP.
25X1A
W. M. Janne
Dist:
0 t 2 - Add
1 - DD/Pers/SP
1 - DD/Pers/RF,P
1 - DD/Pers/P&C
1 - C/SAS 3
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The ketirement1A/fedallion
of the Central Intelligence L,~Tgencyc
is awarded as a tangible form of recognition and appreciation of service.'
dedicated to the vital role of national intelligence.
and as a lasting.reminder of an honorable career and rewarding associations
in that important calling
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Federal Civilian Retiree
The person named above, whose signature
appears on the reverse side,
has retired from the civilian service
.of the United5tates Government
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Tax Reform Act of 1976 - Impact on Disability Annuitants
-1. The purpose of this "flyer" is to describe to
you some of the effects of the Tax Reform Act of 1976
on disability annuities and the eligibility of disability
annuitants to claim the sick-pay exclusion of $5,200.00
a year.
2. The Tax Reform Act, although enacted into law
late in 1976, is retroactively effective for payments
made after 31 December 1975. Thus, the changes described
below affect disability annuitants for the complete 1976
tax year.
3. Disability retirement is awarded based on the
finding that an employee is disabled from performing the
official duties of the position to which he is assigned
at time of retirement. Until the Tax Reform Act of 1976,
this was sufficient to qualify for sick-pay exclusion of
$5,200.00 per year. The new Act has changed extensively
the rules for eli.gibility.for sick-pay exclusion. Now,
in order to qualify for sick-pay exclusion, a disability
retiree must prove that he is totally and permanently
incapacitated from engaging in any substantial gainful
employment. The burden for proving such total and
permanent incapacity rests on the disability retiree
who, with supporting statements from his private, physician,
must present his claim to the Internal Revenue Service.
We emphasize here that our medical records will not support.
such a claim; our records show only that the retiree was
disabled to the extent that he could not perform the duties
of the position he held at time of retirement; this is
vastly different from being totally and permanently inca-
pacitated in the sense of the requirement in the Tax Reform
Act. The Agency Medical Staff cannot provide any records
to assist a disability retiree in his claim to the IRS
for sick-pay exclusion.
4. The Tax Reform Act contains another drastic
provision affecting disability annuitants. Even if a
disability annuitant does obtain a ruling from IRS that
he is totally and. permanently disabled, the new tax law
requires that the sick-pay exclusion of $5,200.00 per
year be reduced, dollar for dollar, for income (including
annuity income) in excess of $15,000.00 per year. In the
case of husband and wife filing a joint tax return, the
combined amount will be used to determine annual income
in excess of $15,000.00.
S. A disability retiree who loses his eligibility
to claim sick-pay exclusion may decide for tax purposes
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retirement fund. The recovery of these contributions
is free of Federal tax.
6. The new definition of disability for tax purposes
precludes us from showing any amount of a disability
annuity as excludable as "sick pay" on the 1976 tax state-
ments, W-2. The 1.976 W-2 will indicate only "DISABILITY
RETIREE." Disability retirees are reminded that the
annuity statements which they received at time of retirement
show the total contributions made to the Retirement Fund.
7. It, is important to note that the information
supplied in this document does not constitute the new IRS
regulations or procedures which will be issued to implement
the Tax Reform Act of 1976. The IRS has sole authority
over Federal income tax matters. We do not have precise
information on how the law will be implemented or its
impact on any individual annuitant. It is also important
to note that we cannot supply tax advice or instructions,
nor can we supply IRS forms and publications.
8. The best advice we can give you is to obtain
official IRS publications concerning the changes made by
the Tax Reform Act as they become available. The instructions
which will accompany your 1976 tax returns (IRS form 1040)
will contain official, updated information.' You should
review these instructions carefully. If they do not answer
your questions or if you desire more detailed information,
you may wish to obtain IRS publication 522, "Information
on the Disability/Sick Pay Income Tax Exclusion," or IRS
Publication 17, "Your Federal Income Tax." Be sure you
obtain the new 1977 editions for the 1976 tax year. If
you still have questions a ter reviewing these publications,
contact the IRS. They have toll-free numbers listed in
your phone book or available from the telephone operator.
9. CIARDS disability retirees who are approved for
sick-pay exclusion by the IRS are reminded that sick-pay
exclusion cannot be claimed beyond the date of mandatory
retirement set for the System: age 60 for all, except
GS-18's for whom' it is at age 65
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